Tuesday, March 27, 2012

Charlotte's commercial real estate market is improving, newcomers are continuing to bring innovation and investors are starting to lend more, possibly in smaller markets such as Charlotte, a group of speakers told a crowd of about 300 real estate professionals Tuesday.

The relatively rosy outlook was shared by professionals at a commercial real estate market forecast held at Carmel Country Club and sponsored by the North Carolina chapter of CCIM. CCIM stands for Certified Commercial Investment Member, a designation awarded to individuals in the commercial and investment real estate industry.

Wells Fargo senior economist Mark Vitner spoke about some of his concerns, including a worry about economic struggles occurring in Europe and China. Charlotte's economic growth has been driven in part by an increase in manufacturing, specifically exports, Vitner said. Europe and China buy much of the area's exports.

Vitner also said the retail industry remains weak because there has not been much growth in workers' incomes. He noted that many of the jobs that are being created, including those in home health care and retail trade, tend to be lower paying or offer part-time hours.

On a brighter note, Mike Ortlip, senior vice president at Grandbridge Capital, said more capital is flowing into the market. Insurance companies, in particular, are investing, he said. More of this money is expected to flow into secondary markets, such as Charlotte, he said.

Veteran developer Johnny Harris, president of Lincoln Harris, was the Charlotte region's most enthusiastic cheerleader, highlighting the area's attributes with a slideshow titled: The Charlotte Region: Alive and Well.

"Things are getting better," Harris said. "It's over," he said of the economic doldrums that have plagued the real estate markets.

Among the proof: A rising number of building permits for non-residential construction in recent months, the continued migration of newcomers to the Charlotte area, and the strength of the Charlotte Douglas International airport, he said.

"The airport is the engine (for economic growth)," he said.

Perhaps the area's biggest challenge, he said, was the need to groom future leadership.

Charlotte's largest corporations once provided local leadership, he said. Now, he said, "the corporations are so large they don't let leaders take time in the community."

He urged attendees to stop to help others with their business endeavors and to provide support and leadership during rough times. He also made a nod to his own stumbles.

"I've had skinned knees. I've had a bank turn me down for a loan," he said. "You're going to get through this. (Charlotte) is the best place in the world."

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comments:

Anonymous
said...

Mark Vintner is a cheerleader for the Charlotte Uptown crowd. He stated several times that because Charlotte real estate did not escalate as rapidly as other cities did, that we wouldn't experience a severe pullback in the real estate market. Think he got that one right too?

Wow, excitement level picks up again! I really appreciate the Charlotte's commercial real estate market for their improvement. I told my friend about Charlotte's commercial real estate will once improve for their work quality. I also done my house and factory construction by Charlotte's real estate. Thanks for sharing this post with us.

This is great news and it makes sense. I bought my first house after years of paying someone else with nothing in the end to show for my hard work. My rent was higher than my current mortgage payment. Shouldn't have waited so long to buy my own house. Even my friend who bought at the peak in end of '06 has already paid down so much principal, that he now has...huntington beach homes for sale

These pep talks do not change the fact that we are in dire state - economically.

I voted for Obama and the Democratic party and they misled me totally.Obama wasted soo much time on health care legislation when the country needed solutions on (a)banking crisis (b) real estate fiasco (c) jobs (d) energy.

Why is real estate flourishing in Brazil, China & India where free enterprise is at its height.

I enjoyed reading this a lot and I really hope to read more of your posts in the future, so I’ve bookmarked your blog. But I couldn’t just bookmark it, oh no.. When I see quality website’s like this one..real estate in barbados

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Ely Portillo

Ely Portillo

About this blog

Ely Portillo covers economic development for the Observer, writing about who's building what in a city that seems to be sprouting new apartment and office towers on every corner. He also writes about Charlotte's airport, a major hub that's also undergoing a huge growth spurt. A transplant from Maryland, he's been reporting on his adopted hometown for more than five years. If you have a tip or story idea to share, you can contact him by email or give him a call at 704-358-5041. For the latest news, follow him on Twitter @ESPortillo.